Firstenergy Corp. · NYSE:FE
Firstenergy — Q3 2024 Earnings Presentation
14 slides from Firstenergy's earnings presentation, Oct 30, 2024
Slide 1: Focused on Our Future: 3Q 2024 Strategic & Financial Highlights
Focused on Our Future 3Q 2024 Strategic & Financial Highlights Published October 29, 2024
Slide 2: Forward-Looking Statements
Forward-Looking Statements Forward-Looking Statements: This presentation includes forward-looking statements based on information currently available to management. Such statements are subject to certain risks and uncertainties and readers are cautioned not to place undue reliance on these forward-l
Slide 3: Non-GAAP Financial Matters
Non-GAAP Financial Matters This presentation contains references to certain financial measures including Operating earnings (loss) and Operating earnings (loss) per share (“EPS”), including by segment, and the impact of special items on the following measures: Total revenues, Total operating expense
Slide 4: Focus of Today's Call
Focus of Today’s Call Brian X. Tierney – President and Chief Executive Officer ■ Delivering on our 2024 and long-term financial objectives ■ Continued execution of our regulatory strategy ■ Increasing 2024 investment plan and pursuing incremental transmission opportunities ■ Advocating for customers
Slide 5: Financial Overview
Financial Overview Key Highlights 2024 vs 2023 EPS Results Third Quarter YTD September Delivered 3Q24 Operating EPS of $0.85, within guidance range $1.96 $1.94 $0.85 $0.88 $1.66 $0.73 $0.74 Delivered YTD24 Operating EPS of $1.96, $0.02 above YTD23 $1.25 results Narrowing 2024 Operating EPS Guidance(
Slide 6: 2024 Key Milestones
2024 Key Milestones Investment Opportunities Efficient Operations Regulatory Strategies ▪ Increasing 2024 investment ▪ Named Karen McClendon SVP ▪ PA Base Rate Case plan from $4.3B to $4.6B – 24% & Chief Human Resources Officer • Settlement filed in September increase vs. 2023 • $225M revenue adjust
Slide 7: Advocating for Customers Through Industry Dynamics
Advocating for Customers Through Industry Dynamics Industry Dynamics ▪ Data center and AI’s share of U.S. electricity consumption are expected to triple by 2030 ▪ In our own footprint, load study requests of 500MW+ have more than tripled compared to 2023 ▪ Despite record-high prices in the July PJM
Slide 8: Shareholder Value Proposition
Shareholder Value Proposition Compelling Total Strong Growth Outlook Attractive Risk Profile Shareholder Return 6-8% long-term annual Operating EPS Targeted 14-15% FFO/Debt over plan Attractive total shareholder return of growth(1) horizon 10-12%+ with potential for upside (6-8% Operating EPS growth
Slide 9: Delivering Financial Results: 3Q 2024 Earnings Summary
Delivering Financial Results 3Q 2024 Earnings Summary – Segment View New rates & investments drove sustainable earnings growth, which was offset by higher storm restoration costs and the absence of 3Q23 income tax benefits Quarter-over-Quarter Operating EPS Walk ▪ Distribution +$0.02: impact of high
Slide 10: Delivering Financial Results: YTD 2024 Earnings Summary
Delivering Financial Results YTD 2024 Earnings Summary – Segment View Earnings growth from new rates & investments partially offset by the planned increase in operating expenses, higher storm restoration costs and decrease in Signal Peak earnings ▪ Distribution -$0.05: primarily from the planned YTD
Slide 11: Recent Regulatory Activity – PA and NJ
Recent Regulatory Activity – PA and NJ Pennsylvania New Jersey Base Rate Case: Settlement filed 9/13/24; ALJ recommended EE&C: Settlement filed 10/18/24; Expect approval on 10/30/24 PAPUC approval on 10/15/24 ▪ Program budget $817M over 2.5 years (January 2025- June ▪ $225M revenue adjustment, based
Slide 12: Recent Regulatory Activity - OH
Recent Regulatory Activity - OH Ohio ESP V: Withdrawal filed 10/29/24 ▪ The withdrawal is subject to PUCO order and will result in the Ohio Companies reverting to ESP IV until an ESP VI is filed and approved ▪ Reverting to ESP IV allows us to avoid uncertainty in ESP V with respect to certain condit
Slide 13: Economic & Customer Updates
Economic & Customer Updates Economic Trends GDP Growth Unemployment Rate 6% 6% Gross Domestic (State) Unemployment Rate 5% 5% 4% 4% Product % 3% 3% 2% 2% 1% 1% 0% 0% 2023Q3 2023Q4 2024Q1 2024Q2 2023Q3 2023Q4 2024Q1 2024Q2 OH PA NJ MD WV U.S. Avg. OH PA NJ MD WV U.S. Avg. Positive GDP growth in all f
Slide 14: Key Financial Updates
Key Financial Updates In October, FE and subsidiaries entered into amendments to extend the maturity date of revolving credit facilities by one year to 10/18/28 ▪ In addition, borrowing limit of JCP&L’s credit facility was increased to $750M from $500M ▪ FE now has $5.9B of commitments under its rev